Posted by Ryan (NC) on April 13, 2006 at 07:55:29:
We use options to minimize risk such as this… if I find a super nice home that is slightly over priced but we have a good buyer (one with a big down payment) that I’m pretty sure it will fit or if there are any questions about the park ect. I’ll try my best to put the home under a 30-90 day option with a small deposit.
I explain that there are some unanswered questions or that I normally won’t pay that much for a home but I’ve got a potential buyer that I think would be a perfect fit and I’d like to show them the home. Would they have a problem with me giving them $100 or so for the right to buy it at that price within so many days if it works out… Most folks give me no problem but I’ve had a few that get squeamish about possibly finding a buyer while I’ve got the right to buy (option) the trailer, so I just tell them that if that happens they can return the deposit, we’ll shake hands and part ways as friends which works most of the time.
Following Lonnie?s model is point blank the best route you can take but you can make a few bucks here and there wholesaling contracts. It’s NOT nearly as easy as it sounds though and you normally have to have a really good deal to start with but you don’t gain the monthly check. If you decide to try this deal I’d recommend running an ad looking for a different buyer the same day you lock it up, bank financing seems to fall through more than it gets approved around here.